$750 Million Settlement for Whisteblower Lawsuit Over Bad Drugs

GlaxoSmithKline, one of the worlds largest pharmaceutical companies, has agreed to pay $750 million to settle criminal and civil claims against it a whistle-blower lawsuit alleging that drugs made in its Puerto Rican Plant were unsafe. Drugs that could have been affected by the poor safety at the plant include Paxil, Avandia, Coreg and Tagament.

The lawsuit was brought by Cheryl Eckard, GlaxoSmithKline's former quality manager, who reported that when she notified the company of the safety concerns at the plant she was fired and none of the safety issues were resolved. Whistle-blower lawsuits are on the rise. These lawsuits are filed pursuant to a federal law that allows persons with information regarding certain types of wrongdoing to file lawsuits and seek recovery for the government. In the event that the government recovers, the whistle-blower received a percentage of the recovery.

In recent years and months there have been many news stories about drug companies poor safety practices and misleading advertisements.

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Categories: Product Liability